Thrift Savings Plan

Forum|Forum|5 years ago
February 10, 2021
2 replies
33 views

I have 2 1099R from Thrift Savings Plan. 1 is a Tradition TSP and other one is a Tradition Roth Plan. But i do know if a regular Roth IRA. How can I tell

401K

ToddL99

Level 13

You should be able to identify each TSP from the distribution Code in Box 7 (Distributions from Regular (Traditional) TSPs and Roth TSPs use different codes).

A Regular (Traditional) TSP won't have a unique code - these accounts use the same codes as 401ks and traditional IRAs. If the account is a Roth account, the distribution code will include "Roth" in the description.

See the attached screenshot for a list of distribution codes:

whitetiger818Author

Level 2

1 of the 1099R has a code 2b in line 7. So this a Roth plan?

dmertz

Level 15

Codes 2 and B together indicate a distribution from the designated Roth account in the TSP, not a distribution from a Roth IRA.

TurboTax unnecessarily asks if this distribution is from a Roth IRA even though the code B in box 7 unambiguously indicates that it is not a distribution from a Roth IRA. This question is nothing more than a trap for the unwary and has caused nothing but problems since answering that the distribution is from a Roth IRA will cause TurboTax to later tell you that you've made an entry error without providing any useful information as to the nature of the error.

dmertz

Level 15

The federal TSP is not any kind of IRA.

whitetiger818Author

Level 2

There are two different types of Thrift Savings Plan . One is a Traditional and the one is a Roth plan. How do I enter it , I am withdrawing from both.